In other FinTech News, IHS Markit updates KY3P and AIA Group will be working with Eagle Investment Systems.
BrokerTec Takes Majority Stake in e-MID
Officials at BrokerTec Europe, NEX Group’s global electronic fixed income trading platform, say the firm is acquiring a majority stake in e-MID SIM SpA (e-MID), acquiring the Italian electronic central limit order book (CLOB) platform for interbank deposits and overnight indexed swaps (OIS).
The acquisition, which was just approved by the Bank of Italy, will give BrokerTec Europe “a strong footprint in the important Italian debt and money markets,” officials say. The transaction closed on March 30.
The investment will make e-MID a subsidiary of BrokerTec Europe that can offer its Italian government bond repo and interbank deposit businesses to BrokerTec’s international client base, officials say. In addition, BrokerTec will “integrate the e-MID technology, provided by List SpA, into its technology architecture,” and it will also offer e-MID additional Euro zone repo and government bond products.
John Edwards, managing director, BrokerTec Europe Ltd., will manage the overall integration of the e-MID business and on-going daily operations, officials say.
The acquisition is an opportunity to “expand both the core e-MID and BrokerTec product suites and in particular secure better access to the largest and most active Sovereign bond market in Europe,” Edwards say. “The acquisition and integration of this business will enable BrokerTec, and the rest of the NEX Group, to better access the extensive Italian financial community and allow us to develop new product lines.”
Giuseppe Attana will remain as chairman of the e-MID board and BrokerTec’s Edwards, Richard Leighton and Lorenzo Ruffatti will join e-MID’s board to represent BrokerTec and the broader NEX Group, officials say.
“BrokerTec plans to establish a money market offering for Italian corporates by connecting e-MID with EBS Treasury, its money market fund (MMF) platform for the corporate community,” according to BrokerTec. “It is also expected that there will be other areas of opportunity for e-MID to work with the wider portfolio of NEX Group businesses.”
IHS Markit Rolls Out New Functions for KY3P
IHS Markit, an information, analytics and solutions vendor, has added features to the Know Your Third Party Risk Management platform (KY3P) that will allow users to include proprietary information about their vendors and utilize risk scoring capabilities, officials say.
“The risk scoring calculator tool enables consumers to create their own metrics to review, assess and score due diligence responses for accuracy and completeness,” according to vendor officials. “Consumers will also be able to assess gaps in third party and vendor responses by identifying areas for resolution through new remediation and tracking workflows. Further developments will also enable these organizations to modify and save unique templates geared to specific vendor profiles.”
For vendors, Markit is offering ways to automate workflows within the due diligence questionnaire (DDQ) process. “Vendors will be able to assign individual questions to colleagues and monitor response-completion status. Additionally, the questionnaire interface design will be refreshed to reduce clicks and save critical review time to market,” officials say.
The extra features are targeting the vendor’s rapidly growing customer base for KY3P. “In just over a year and half since its launch, KY3P has seen a dramatic rise in user adoption with more than 70 signed financial institutions — an increase of over 500 percent since inception. The platform now boasts nearly 800 registered vendors and more than 15,000 vendor profiles,” officials say.
AIA Group Picks Eagle for Enterprise-Wide IBOR
Pan-Asian life insurance group AIA Group will be using a data management platform that includes managed services from Eagle Investment Systems, which will also offer deployment over Eagle’s Access, a private cloud.
Ultimately, the Eagle offerings will facilitate an investment book of record (IBOR) and consolidation of the AIA’s investment management data sources onto one platform, officials say.
The Eagle architecture will “provide AIA with a single consistent view of performance analytics, investment risk and compliance monitoring. The solution will also support the availability of consistent data for investment analysis and reporting,” officials say.
“With the new platform we can improve operational efficiency and ensure greater data integrity as we scale our operations and deepen our front office analytics,” says Mark Konyn, AIA group chief investment officer, in a statement.
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